Prices for pig feed reach historic lows in Russia
This has led to higher Feed Conversion Ratios. According to data released by the Russian Unified Interdepartmental Statistical Information System (EMISS), pig feed cost 12,437 roubles ($220) per tonne, 10.4% down when compared to December 2016.
This is the lowest level registered since the beginning of the current economy crisis in Russia in 2014. Prices have been falling steadily since August 2016, when feed prices reached its zenith at 15,335 roubles ($271) per tonne, according to EMISS.
Last year, Russia saw the strongest-ever fall in animal feed prices – on average an 11% year-on-year reduction, said Valery Afanasiev, chairman of the Russian Feed Union.
He spoke at the trade fair MVC: Cereals-Mixed Feed-Veterinary 2018 held in Moscow, Russia, from January 30 until February 1, 2018.
In the first place, feed prices have fallen due to Russia’s record-breaking grain harvest in 2017, according to Afanasiev. Prices for feed and barley on the domestic market were about 30% lower last year compared to 2015, as reported by the Russian State Statistical Service.
Corn harvests, on the other hand, were lower as Russia collected only 12.1 million tonnes of corn in 2017. That amount was insufficient to meet the needs of the domestic feed industry, Mr Afanasiev said.
Against that background, the share of grains in pig feed in Russia reached on average 70%, Afanasiev stated. In total, in 2017 Russia produced 10 million tonnes of pig feed, up by 8.7% compare to the previous year, he added. ■